If you want us to authorize and pay overdrafts on everyday debit card and ATM transactions, login to your account through Online Banking, click the "Reg E Overdraft Opt In" button, and follow the instructions.

You can call our Customer Service at 1-888-715-8282 and press 6 to speak with an agent.

You may also complete the form below and return it to us by mail, by fax to 1-816-221-3145, or scan and e-mail it to CustServ@afbca.com.

An overdraft occurs when you do not have enough money in your account to cover a transaction, but as a convenience to you, we pay it anyway. We can cover your overdrafts in two different ways:

We have standard overdraft practices that apply to our accounts.

We also offer overdraft protection plans, such as a link to a savings account, or to an overdraft line of credit, which may be less expensive than our standard overdraft practices. To learn more, ask us about these plans.

This notice explains our standard overdraft practices.

What are the standard overdraft practices that apply to my account?

We do authorize and pay overdrafts for the following types of transactions based on the length of time your account has been open and the activity in and your usage of the account:

Checks and other transactions made using your checking account number such as ACH direct debits.

Automatic bill payments

We do not authorize and pay overdraft for the following types of transactions unless you ask us to (see below):

ATM transactions

Everyday debit card transactions

We pay overdrafts at our discretion, which means we do not guarantee that we will always authorize and pay any type of transaction. If we do not authorize and pay and overdraft, your transaction will be declined.

What fees will I be charged if Armed Forces Bank of California pays my overdraft?

Under our standard overdraft practices:

We will charge you a fee of $25 each time we pay any overdraft item.

The maximum fee we will charge your account for overdrafts and returned items on any business day is $125.00.

What if I want Armed Forces Bank of California to authorize and pay overdrafts on my everyday debit card and ATM transactions?

If you want us to authorize and pay overdrafts on everyday debit card and ATM transactions, log on to your account through Online Banking, click the "Reg E Overdraft Opt In" button, and follow the instructions.

OVERDRAFT ALTERNATIVES DISCLOSURE

To prevent returned item fees or overdraft fees, we recommend you maintain all account activity in a check register and routinely
reconcile your account to the balance reported by the bank. Using our automated telephone information system, Online or Mobile Banking,
Online or Mobile Banking Alerts, Email Notifications, and Text Messaging (fees may apply, contact your mobile carrier for details) to
monitor your account balance and account activity can assist you in managing your account. Knowing your account balance also requires
consideration of pending items such as checks you've written that have not reached the bank, or pre-authorized ACH debits that have not
yet posted to your account. Please call us at 1-888-715-8282 to learn how to sign up
for these services or for assistance with reconciling your account.

Armed Forces Bank of California offers the following alternatives to avoid overdraft fees or returned item fees, which are less expensive when compared to our Standard Overdraft Practices.

Ways to Avoid / Cover Overdraftsat Armed Forces Bank of California

Examples of Associated Fees1

Comparative Cost2

Good Account Management

$0

Not Applicable

Overdraft Protection Transfer

$7.00 per daily transfer

$7.00

Ready Cash Reserve3

15.9% APR4

$0.22 + $20 annual fee

Returned Item / Overdraft Fee

$25.005

$25.00

1 - These costs are provided only as examples. Please ask us about specific products and fees.

2 - Comparative cost based on one (1) insufficient item per month resulting in an overdraft of $50.00,
and the credit line or overdraft not being paid for 10 calendar days .

You may instruct us to never pay any item that would overdraw your account. Opting out of all overdrafts may
still result in returned item fees being assessed. To opt out of all overdrafts, contact any Banking Center, call toll free 1-888-715-8282
or email us at ODOptOut@afbca.com

Overdraft Protection Transfers

Secondary checking, savings and money market accounts may be used to avoid overdraft fees for customer checking accounts.
Only one account may be linked to each checking account for this service. When checks or other debits present against your
account in amounts that would create an overdraft or returned items, the bank will transfer funds from your linked account
in $100 increments sufficient to cover the items (subject to funds availability in the linked account). Any account receiving
overdraft protection transfers will only be charged one transfer fee of $7.00 per day, regardless of the number of items causing the overdraft.
If the balance in the linked account is not sufficient to cover the items, all available funds will be transferred, but the $7.00 transfer fee
will be reversed and you will instead be charged overdraft fees or returned item fees, as applicable, for any remaining items that cannot be
covered by the transfer. Linking a secondary checking account for overdraft protection transfers could result in overdrafts or returned items
in the secondary account. Certain account types have transaction limitations; please speak to a representative to determine
whether transaction limitations apply. Sign up for this service at any Banking Center or by calling toll-free: 1-888-715-8282 or
visit our website at afbca.com and click on Contact Us.

Ready Cash Reserve

The Bank offers a Ready Cash Reserve line of credit that is attached to any checking, or Money Market account.
Based on credit qualification, lines are available for a minimum of $300 to a maximum of $3,000, with an APR of 15.9%;
interest is charged only for the number of days outstanding. A minimum monthly payment equal to the greater of 5% of the outstanding balance
or $25 will be auto-deducted from the consumer's checking account. Additional or larger payments may be made at any time through online banking or by contacting the Bank.
Advances are in $100 increments and are transferred automatically to cover a negative balance. An advance may be made manually through online banking or upon request.
There is a $20 annual fee for this product, but no per transfer fee. Visit any Banking Center or call us toll-free at 1-888-715-8282
to apply or obtain additional information.